New Title rules 1-1-2016 WI other new state rules maybe?

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gggGary

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A new; seller has to notify WI of the sale rule just went in to effect.

http://wisconsindot.gov/Pages/online-srvcs/other-servs/seller-notify.aspx

Beginning January 1, 2016, a new law (342.41 Identity of buyer) goes into effect requiring a person who sells a motor vehicle to another person, including transferring a junk vehicle by bill of sale, to submit notification to the department that a sale has occurred. This law does not apply to dealer transactions or businesses; this requirement is ONLY for sales from one individual to another individual.

Within 30 days of a sale the seller needs to report to WisDOT the:

Vehicle identification number (VIN) of the vehicle
Identity of the individual buyer
Sale price
Date of sale
Submitting seller notification online
To submit seller notification online you need:

To be an owner of the vehicle (must be an individual, not a business)
Your Wisconsin driver license or identification card number (or full name)
The last four digits of your social security number (or full SSN)
Your date of birth
The vehicle identification number (VIN) for the vehicle
Once completed, you will have the option to print, email, or save confirmation of your notification.

This service may not be available on Sundays from 6 a.m.–9 a.m. due to regular system maintenance.



Begin seller notification

Mailed seller notification
If you are unable to successfully complete the seller notification online you will be prompted to complete Seller Notification form MV2870 and mail the notification to the department or submit the form at a DMV Service Center.
 
This is a good thing... we have this currently in WA, and it gives protection to the seller...in case of accident, etc. with said vehicle, the seller is off the hook.
 
They have required this in MO for awhile. The state collects sales tax each time the vehicle sells and they want to make sure the buyer doesn't under report the sales amount.
 
No penalties noted in the statute.... I need to do some title work...........
 
Just saw this, especially useful for wisconsinites
I have a no title bike story just happened Thursday, short version seller was photo shy, no sale occured. :devilish:

How to title your ride when there is no title
By: Mike Eppinger | March 3, 2020
wisconsindot.gov contains a wealth of information and is rather easy to search. Answers to questions on titling for any state should be searched online at that state’s website or addressed by phone or in person with the DMV.

When considering a vehicle purchase, determine if there an Original Equipment Manufacturer (OEM) Vehicle Identification Number (VIN) or serial number on the vehicle. If one exists on the vehicle, a few different situations will apply.

Sometimes, a seller will say that they once had a title, but have since lost it. If they are being truthful, this might be the best and easiest situation to remedy. If the seller is the last titled owner of the vehicle, they can apply for a replacement title. A few details on this process are listed here later. If the titled owner is deceased and the seller is the legal representative, the process might be slightly more involved. It would be well worth it for the buyer to offer to pay the replacement title fee ($20-25 in Wisconsin). The seller would be wise to get a replacement title before trying to sell the vehicle.

Depending on the age of the vehicle and the state’s regulations, the seller might not have a title, but has a bill of sale to prove legitimate ownership. Individual states might accept this for a title replacement application, so it is imperative to check with the motor vehicle department (and, possibly, get answers from more than one person if you’re not confident with the first answer).

If the VIN can be found (ideally by a personal inspection), but the seller cannot produce a legitimate title or bill of sale, you could buy the vehicle and apply for a “bonded” title (details later). The seller must provide the buyer with a bill of sale, proof of his or her identity and their valid driver’s license number. Quite often in Wisconsin, the DMV may check the VIN as to its accuracy and legal status and a state highway patrol officer may complete a physical VIN inspection. It is suggested that, along with absolute proof of identity from the seller, monies paid to the seller be held in legal escrow and there is a mutual signed agreement stating that if the legal status of the vehicle cannot be confirmed by DMV, all monies paid by the buyer to the seller be returned to the buyer immediately.

If there is not a VIN on the vehicle, you could still buy it and, again, the seller must provide a bill of sale, proof of identity and valid driver’s license number. In Wisconsin, the next step is to complete DMV form MV1 and attach a letter with the MV1 requesting a Wisconsin-assigned VIN. The vehicle would be subject to a state patrol inspection for verification and relevant equipment requirements for the model year of the vehicle’s manufacture. If all is approved, a title and Wisconsin-assigned VIN tag are issued with instructions on where and how the tag must be placed.

A Wisconsin law that is not well known but is very important, especially for the seller, became effective Jan. 1, 2016. Known as 342.41 Identity of Buyer, Seller Notification, the law requires a person who sells a motor vehicle to another person, including transferring a junk vehicle by bill of sale, to submit notification to the DMV that a sale has occurred. (Since state sales tax is collected every time a vehicle is purchased, titled and registered, some people did not register the vehicle in their name if they were going to immediately resell it, thus avoiding the tax.) This law does not apply for transfer to or from dealers or other non-individuals, such as companies, charities and government agencies; this requirement is only for sales from one individual to another individual. Within 30 days of a sale the seller needs to report to WisDOT the VIN, identity of the buyer, sale price and date of sale.

If a title is lost, an application for a replacement can be done online, by mail, or in person at any DMV customer service center offering title and registration services. At the center, the application can be immediately processed for an additional $5 fee. Go to the wisconsindot.gov website and search “replacement title” for information. At this site a person can apply online or can print form MV2119, which can be mailed or taken to a service center.

If there is not a proper ownership document (title or possibly bill of sale) or if there is an incomplete chain of ownership, a surety bond will be required in Wisconsin. Search “bonded title” for details, but the basics are these: First, submit form MV2082 Application for a Bonded Certificate of Title to a Vehicle along with form MV1 Wisconsin Title & License Plate Application and listed fees.

Then, vehicle records will be researched to determine previous ownership of the vehicle and price guides will be used to determine the bond amount. Next, WisDOT will send a letter requesting a surety bond for the determined bond amount. Once WisDOT receives the surety bond, a Wisconsin title will be issued that shows the brand BOND POSTED. This brand will remain in Wisconsin records for five years. After five years, WisDOT will send a letter to the current owner(s) letting them know they can obtain a title without the brand and the surety bond will be returned to the surety company.

Before putting hours, dollars and effort into a project only to find out it can’t be properly titled, save the agony and frustration and follow the procedures and regulations from the beginning.

The Wisconsin Specialty Vehicle Council follows legislation related to modified vehicles as well as all other types of special-interest vehicles. They have worked with the Wisconsin DOT and DMV and State Patrol on formulating laws and regulations. The title bond procedure was greatly improved thanks to the efforts of members Tom Zat and Paul Underwood.
 
That’s some great info. You trade a lot more than I have, you’ve probably bought bikes with just a bill of sale or no title.
For me personally, that would be an immediate deal killer. Also a deal killer, salvaged titles.
I bought my old BMW with a salvage title. I thought I’d own that bike forever so I didn’t care, but it sure increased the difficulty of re selling it.
 
Up here in Washington State, I've gone the "Title in doubt" process with one of my bikes--when the seller wasn't the original owner and didn't have a title (Abandoned vehicle) on their property. It's a pretty long (3 yrs), but straight forward process...get a certified letter to the seller asking for release of interest. They either fill it out, and you can use that to apply for a title in doubt...OR, if they refuse, then the certified receipt works in it's place. Take it to the licensing office, and they'll have a document to give to the state patrol (The SP does an inspection to validate the bike's authenticity and legality)...with that, you get a registration and you are legal to drive it on the roads. 3 yrs later, you can apply for the title and it's yours.

I've also bought a salvaged title car (from out of state)...when I transferred it to WA, they gave me a standard title...losing the "salvaged" tag. So now it's just a title... and no issues with resale, etc. Although the history of the car is still available, and I while I don't plan to sell it... I would disclose it's salvaged origins to the buyer if that occurs.

I'm now in the process of applying for a Vermont title for another bike I just bought without a title...we'll see how that goes. Supposedly it's a 3-4 week process to get it, and then I'll transfer it to WA... not sure on how it will all shake down. We shall see.
 
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